- ETH shows potential for further growth, breaking out of a falling trend and targeting $2,655 resistance.
- Historical patterns suggest a possible rise to $6,000 if key support at $2,300 holds.
- Despite bullish momentum, Ethereum faces resistance at $2,900, with a risk of dropping to $2,116 due to a negative double top formation.
Ethereum (ETH) is experiencing a notable surge in its price trajectory, aligning closely with Bitcoin (BTC) as the broader cryptocurrency market enters a bullish phase. Over the past week, ETH has recorded an impressive nearly 7% increase, showcasing strong momentum and signaling potential for further growth. Ethereum appears to be gearing up for a significant upward movement as the crypto landscape evolves.
At the time of writing, Ethereum’s price stands at $2,612.57, with a substantial 24-hour trading volume of $49.64 billion and a market capitalization of $314.49 billion. This positions ETH with a market dominance of 13.70%. The cryptocurrency has gained 2.85% in the last 24 hours alone, further highlighting its upward trajectory.
Ethereum’s Historical Patterns Suggest Strong Potential
Crypto expert Ali Martinez has drawn attention to an intriguing historical pattern, noting that every bounce off the lower boundary of Ethereum’s trading channel has historically resulted in an average price increase of 130%. If this trend continues, ETH could potentially rise to as high as $6,000, assuming the crucial support level at $2,300 remains intact.
Ethereum Breaks Trend, Eyes $2,655 Resistance
From a technical perspective, ETH has successfully broken through the ceiling of a falling trend, indicating a reduction in the initial rate of decline. Currently, an inverse head and shoulders formation is developing, which is often seen as a bullish signal. A decisive break above the resistance level at $2,655, ideally accompanied by increased trading volume, would further confirm the upward momentum.
However, it is essential to note that Ethereum recently experienced a negative signal due to a double top formation, breaking below the support level at $2,887. Analysts warn that if this trend continues, ETH could fall to $2,116 or lower.
The cryptocurrency currently has support levels around $2,230, with resistance looming at $2,900. Observations suggest that trading volume has been low at recent price peaks while surging at price bottoms, indicating a negative volume balance that could weaken the breakout trend.
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